The needy will prevents third-party access to the inheritance

Many people wish to leave something of value to their descendants so that they can have a better future. However, if the heirs are in debt, in insolvency or receive social assistance, worried parents often turn to the notary. A so-called needy will with executorship and pre-inheritance and post-inheritance can prevent creditors from gaining access to the estate. For this purpose, the will must always be precisely tailored to the individual case.

The needy must use inherited wealth

If people who are in personal insolvency proceedings, are heavily in debt or are dependent on social assistance benefits such as citizen benefit – formerly ALG II – inherit assets, they must use them. In the case of social assistance, this means, for example, that the benefits can be discontinued and the social welfare agency can assert claims from previously rendered services. This also applies within certain limits if it is not the heir but only his partner who receives benefits and both form a community of needs.

Creditors without access thanks to the needy will

The aim of a needy will is to let the heirs who are in financial distress participate in the estate without third parties having access. There is often a desire for the assets to remain in the family even after the person in need has died. In order to achieve this, the future testator can order pre-inheritance and post-inheritance with permanent executorship in his will regarding the needy. The needy or over-indebted heir is used as a non-exempted prior heir and has no direct access to the assets. Instead, an executor regularly provides the previous heir with financial means from the inheritance, the amount of which depends on the garnishment exemption limits. Creditors cannot make any financial claims. If the previous heir dies, the remaining assets pass to the subsequent heirs.

The needy will is always tailored to the individual case

The choice of executor and heir should be carefully considered. The needy heir has to cope with the at least partial paternalism of the executor. The future ones testator can also regulate the case in the needy will that the financial situation of the needy heir improves again. The requirements as to whether, when and under what circumstances the needy heir has unrestricted access to the portion of the inheritance attributable to him can be specified to the executor of the will. In order to do justice to each individual case, a needy will should definitely be drawn up individually and with the support of a notary.

Disinheritance is not a solution

If the testator did not make provisions with a special will and instead excluded the needy from the succession, next of kin such as children and spouses are entitled to a compulsory share amounting to half of the statutory share of the inheritance. Social welfare agencies can claim and assert these claims. Creditors in ongoing insolvency proceedings or individual enforcement only have no access if the heir does not realize the compulsory portion. On the other hand, if the person in need refuses the inheritance in order to prevent claims from the social welfare agency, this can be immoral and legally ineffective.

What: Notarkammer Celle / AzetPR